PUBLIC NOTICE
FEDERAL COMMUNICATIONS COMMISSION
1919 M STREET, N.W.
WASHINGTON, D.C. 20554                                 DA 96-1906

News media information 202/418-0500     Fax-On-Demand  202/418-2830     Internet:  http://www.fcc.gov    ftp.fcc.gov

       CABLE SERVICES ACTION                    November 15, 1996

                        SECTION 505 OF THE
                 TELECOMMUNICATIONS ACT OF 1996 

     On February 8, 1996, the Telecommunications Act of 1996 ("1996 Act") was enacted. 
Section 505 of the 1996 Act amends the Communications Act by adding a new Section 641, entitled
"Scrambling of Sexually Explicit Adult Video Service Programming."  Section 641(a) requires that
each multichannel video programming distributor ("MVPD") fully scramble or fully block sexually
explicit adult programming or other indecent programming on any channel of its service primarily
dedicated to sexually-oriented programming so that a nonsubscriber does not receive such
programming.  Section 641(b) provides that, until the MVPD fully scrambles such programming,
it may not provide such programming during the hours of the day when a significant number of
children are likely to view such programming.  Section 641(b) further requires that the Commission
determine those hours.  

     The Commission adopted an Order and Notice of Proposed Rulemaking implementing
Section 505 and defining the hours of 6:00 am to 10:00 pm as those hours when a significant number
of children are likely to view such programming.  Order and Notice of Proposed Rulemaking in CS
Docket No. 96-40, 11 FCC Rcd 5386 (1996).

     The United States District Court for the District of Delaware thereafter issued a temporary
restraining order enjoining the United States Government, including the Commission, from
"enforcing or implementing Section 505 of the Telecommunications Act of 1996 in any manner." 
The court's order stated that the temporary restraining order "shall remain in force only until the
hearing and determination by the district court of three judges of Plaintiff's Motion for Preliminary
Injunction."  Playboy Entertainment Group, Inc. v. United States, 918 F. Supp. 813 (D. Del. 1996). 
The Bureau by public notice announced that the Commission would not enforce or implement
Section 505 while the temporary restraining order is in effect.  Public Notice, Report No. CS 96-17,
DA 96-354, released March 13, 1996 11 FCC Rcd 10336 (1996).  

     On November 8, 1996, a three judge panel of the United States District Court for the District
of Delaware denied the petitions for a preliminary injunction.  As the temporary restraining order
no longer is in effect, Section 505, and its associated rules, are in effect.  The Commission's rules,
adopted on March 5, 1996, may be found at 47 C.F.R.  76.227.

     We note that motions for injunction against implementation and enforcement of Section 505
pending appeal to the Supreme Court have been filed but have not yet been acted on.

Media contact:  Morgan Broman (202) 418-2358.
Cable Services Bureau Contact:  Meryl S. Icove (202) 418-7200.